Incentives and Performance Measures – Where is the ZIP Line?

1. Incentives and Performance Measures – Where is the ZIP Line?

2. Our Journey starts here Ralph Leggett Tammy Pearson Daisie Blue Angela Ingram-Jones

3. Federal Child Support Performance-Based Incentives and Penalties Angela Ingram-Jones Lead Program Management Analyst Office of Child Support Enforcement

4. Background—Child Support Performance Incentive Act (CSPIA) • Established under regulatory authority to reward States for performance (CSPIA, 1998) • Incentive payments are linked to performance in five areas: • Establishment of Paternities • Establishment of Support Orders • Collection of Current Support • Collection of Arrears (weighted at 75%) • Cost Effectiveness (weighted at 75%) COLLECTION BASE FORMULA 2 times (Current Assistance + Former Assistance + Medicaid Assistance) + Never Assistance Collections + Fees Retained by Other States

5. Background—Child Support Performance Incentive Act (CSPIA) • States are paid from a capped incentive pool. The pool has increased from $422 million in FY 2000 to $504 in FY 2010 • Penalties are associated with failure to meet or improve three of the measures: • PEP • Establishment of Support Orders • Collection of Current Support

6. CSPIA Accomplishments • Improved overall record of performance • Improved data reliability • Increased collections • Altered the way we do business—ability to tie individual work to an outcome • Increased program reputation

7. Performance Trends

8. Incentive System Performance Over Time

9. IV-D PEP Note: Preliminary 2011 Data—subject to change

10. Current Support Collections Note: Preliminary 2011 Data—subject to change

11. Cases with Support Orders Note: Preliminary 2011 Data—subject to change

12. Collections on Arrears Note: Preliminary 2011 Data—subject to change

13. Cost Effectiveness Trends Note: Preliminary 2011 Data—subject to change

14. Best Practices for Performance Improvement • Involve staff at all levels • Caseload Management / Case Stratification (using data to select the right tools for the right case at the right time) • Review and modification and setting appropriate orders • Early intervention to prevent arrears

15. CONTACT INFORMATION Angela Ingram-Jones Lead Program Management Analyst Office of Child Support Enforcement Angela.ingramjones@acf.hhs.gov 202-401-5735

16. State Child Support Performance-Based Incentives Ralph Leggett Administrative Officer NC Child Support Services

17. Incentive Measures Recognize These?

18. Components of Federal Reporting

19. Sources for Reporting

20. OCSE-157 Lines Reviewed X Line 1: Cases Open Line 2: Cases Open Under Order Line 5: Children Born Out of Wedlock Line 6: Children BOW- Paternity Est. Line 24: Current Support Due Line 25: Current Support Distributed Line 28: Cases with Arrears Due Line 29: Cases with Arrears Payment

21. HOLD ON! Somethin’ ain’t workin’? And how does this affect us?

22. Incentive Cycle Federal Fiscal Year Oct-Sept Estimatedand Actual Awards Settlement Performance Audit

23. Calculation of Incentives Example State A

24. If the Paternity Establishment or Support Order Performance Level Is:

25. Settlement of Incentives A type of reconciliation • After the end of each fiscal year and completion of all data audits: • OCSE calculates each State's annual incentive payment, using the actual collection and expenditure data and the performance data submitted by all States by October 30th (or revised by December 31st) • A positive or negative grant will then be awarded to the State to reconcile an actual annual incentive payment that has been calculated to be greater or lesser, respectively.

26. % Paternity Established Line 5a OCSE 157 Children in IV‑D Cases Open at the End of the Prior Federal Fiscal Year Who Were Born Out-of-Wedlock X Line 6 OCSE 157 Children BOW in IV‑D Cases Open During or at the End of the Fiscal Year With Paternity Established or Acknowledged

27. FFY 2010 Incentive Pool

28. What Does That Have to Do With ME

29. Cost Per Child in Error $100

30. How Does That All Add Up? Number of children in your caseload = 400 12% error = 48 X $100.00 = $480.00

31. And that does not include PENALTIES

32. What’s This Nest Egg Worth? • More$$ to reinvest in Child Support Program • Bragging Rights for Sure • Excellent Customer Service

33. Center of the Child Support Universe CASEWORKERS

34. From where do these receive their data?

36. IF YOU ARE GOING TO REPORT IT YOU MUST BE ABLE TO SUPPORT IT ACTS Case file and Supporting Documentation

37. Incentive$$ Are Paid When • Awarded annually • No Guarantees • Data Reliability Audit (DRA) to validate • Failing Lines reduce$$ • Consecutive failures = TANF penalty • Payment Schedule Under Review

39. CONTACT INFORMATION Ralph Leggett, Administrative Officer NC Child Support Services Ralph.Leggett@dhhs.nc.gov 919-855-4404

40. Local/County Child Support Performance-Based Incentives Tammy Pearson Project Manager Union County Child Support

41. Improving Incentives PATERNITY ESTABLISHMENT COLLECTIONS/ARREARS Current Support, Arrears and Total Collections Do you feel like you need help with these areas? What can you do to make it to the end?

42. Tracking Your Performance Measures... Do you know where you are going on the Zip-line? Where do you think you will end up? • PATERNITY ESTABLISHMENT • ORDER ESTABLISHMENT • CURRENT SUPPORT COLLECTIONS • CASES PAYING ON ARREARS • Improving in performance measures = more INCENTIVE MONEY • Knowing your numbers shows you what your office is doing RIGHT and what you need to do BETTER

43. 1st Stop - PATERNITY What can you do that will help ensure you make that 1st Stop? Paternity EstablishmentThe percentage/ratio of children BOW with paternity established for the current year compared to children BOW for the previous year REPORTS: THE KEY TO SUCCESS* BOW Indicator Report * CHILDREN In Case Load Report TRACK YOUR RESULTS MONTHLY! Your paper file should include documentation as to how paternity was established: divorce orders, Affidavits of Parentage, court orders, etc. Every file should have the child/ren Birth Certificate!

45. 2ND STOP– HOPE IT HOLDS UP FOR • ESTABLISHMENT • MOVING THOSE CASES ALONG THE LINE. • The percentage of open cases with support orders established • HOW IS YOUR OFFICE SET UP FOR ESTABLISHMENT? • WORK HIGH PRIORITY WORKLIST ITEMS TO INCREASE THE % OF CASES UNDER ORDER (CACM, CAPD, CASS, CHEM, CRAF, CTRN, ECS1, ECS2, ECS3, EEMP, EFTP, EIST, ELAP, EMPL, FLOW, FWDP, LEMP, LNHE, LPVR, MAIL, PANT, PLOD, RWR) • REPORTS: THE KEY TO SUCCESS⊡ CASE LOAD LISTING REPORT ⊡ No Support Order Report • UNION COUNTY REVIEWS ALL CASES WITHOUT AN ORDER MONTHLY! Don’t get stuck on the line… you need to keep moving so you can get to the end!

47. Don’t Zip past your other stops– WE NEED TO “COLLECTION” OUR THOUGHTS ON CURRENT support AND SEE WHAT PEOPLE DID IN THE PAST – “ARREARS” Are you tired of all these stops? Are you ready to get some money? How is your office structured for Enforcement/Intergovernmental? Increasing Current Support, Arrears = Increasing total Collections! Current Support Collections The percentage of cases paying the full current support amount each month Cases Paying on Arrears The percentage of cases with a payment made on arrears REPORTS: THE KEY TO SUCCESS * Case load listing report * Cases Not Paying Full Support * Cases w/ No Payment on Arrears Know how to harness yourself on that Zip-line – Be secure in knowing you will make it to the end of that line.

49. Don’t get stuck! • FOCUS ON HOW YOUR OFFICE OPERATES AND HOW YOU THINK! • EARLY INTERVENTION PROGRAM • IDENTIFY BARRIERS • DETERMINE WHAT WE CAN DO TO HELP • DIRECT PARENTS TO AVAILABLE RESOURCES • JOB LINK CONNECTION • COMMUNITY COLLEGE CONNECTION • SMART START • UTILIZE YOUR COUNTY’S RESOURCES

50. It takes everyone working together to get you to the end of that Zip-line! . . . because you can’t get to where you’re going without knowing where you are!